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> For comparison, a quick Google shows the unemployment rate in the US during the Great Depression was around 25% and during the 2008 recession was around 10%.

> For comparison, a quick Google shows the unemployment rate in the US during the Great Depression was around 25% and during the 2008 recession was around 10%. > If this situation lasts too long, we'll all be saying hello to Great Depression v2.0. The most troubling is that there is no analysis being performed to determine what a proportionate response is, and I tend to think most people do not understand how interconnected the economy actually is. At this rate, the deaths from draconian government responses will far outweigh the deaths from the Corona virus across all age demographics.

aplummer 7y ago
> At this rate, the deaths from draconian government responses will far outweigh the deaths from the Corona virus across all age demographics. A reminder money is a paper money game and in contrast to the 30s, we easily produce more resources, food and abundance than we need to live with 30% unemployment.
- SpicyLemonZest 7y ago
  But that's exactly why people are scared of the recovery. The phenomenon underpinning the economy isn't money flowing through accounts; it's networks of trade and service provision, and most of those networks are being snipped by the lockdown. We won't starve and we won't lose Netflix, but those networks can't be restored solely by financial stimulus and we can't recover our standard of living without them.
  - thepangolino 7y ago
    There's a simple solution to that. Just remove regulations. Remove lockdowns.
    - Gibbon1 7y ago
      You really think the rabble will continue working as the infection rate rises into the double digits.
jdkee 7y ago
"At this rate, the deaths from draconian government responses will far outweigh the deaths from the Corona virus across all age demographics." Care to elaborate?
- generalpass 7y ago
  > "At this rate, the deaths from draconian government responses will far outweigh the deaths from the Corona virus across all age demographics." > Care to elaborate? The "current rate" assumes a large percentage of the economy being forced to shutdown by government order for an indefinite period. This rate is larger than everyone thinks because we are not just talking about restaurants, theaters and salons. There are all sorts of manufacturing, repair, and other businesses which are also shut down. (Note that Americans have very little savings.) The elderly largely rely on government welfare though Social Security, Medicare, and other programs to survive. With payrolls substantially contracted, this is going to cause a very serious burden on these systems. The likely result will be substantially reduced payments to care providers as well as significant delays in payment, which then likely causes some providers to stop accepting from these systems, thus overloading other providers who may follow and do the same. Everyone needing medical care is reliant on the healthcare system receiving so much money for its services, but given that U.S. healthcare is tied to employment, a lot more people won't be able to pay their bills, so the providers will then increase rates to those who can pay, and employers will be forced to further shed employees to cover premium hikes. Even in the short term, this will reduce new investment in healthcare, such new facilities, equipment, and even equipment maintenance and repair, so the facilities will perform more poorly. Number of beds available will fall because there will be fewer beds per person. There will also be increases in suicide from the increase in unemployment as well as the social isolation Drug overdoses rise. Property crime and violent crime nearly always increase during periods of economic decline. People will consume less healthy foods and be in poorer health. The government is now creating money and giving it directly to consumers. This will increase CPI and exacerbate pretty much everything.
  - jdkee 7y ago
    Couple of thoughts to your reasoned response. "The likely result will be substantially reduced payments to care providers as well as significant delays in payment, which then likely causes some providers to stop accepting from these systems, thus overloading other providers who may follow and do the same." Fed can print money and helicopter it out. "Everyone needing medical care is reliant on the healthcare system receiving so much money for its services, but given that U.S. healthcare is tied to employment, a lot more people won't be able to pay their bills, so the providers will then increase rates to those who can pay, and employers will be forced to further shed employees to cover premium hikes. Even in the short term, this will reduce new investment in healthcare, such new facilities, equipment, and even equipment maintenance and repair, so the facilities will perform more poorly. Number of beds available will fall because there will be fewer beds per person." Nationalize the healthcare system and move to single payer. "There will also be increases in suicide from the increase in unemployment as well as the social isolation Drug overdoses rise." It will be interesting to track these numbers over time and compare them to the COVID-19 death toll.

aplummer 7y ago

> At this rate, the deaths from draconian government responses will far outweigh the deaths from the Corona virus across all age demographics. A reminder money is a paper money game and in contrast to the 30s, we easily produce more resources, food and abundance than we need to live with 30% unemployment.

SpicyLemonZest 7y ago
But that's exactly why people are scared of the recovery. The phenomenon underpinning the economy isn't money flowing through accounts; it's networks of trade and service provision, and most of those networks are being snipped by the lockdown. We won't starve and we won't lose Netflix, but those networks can't be restored solely by financial stimulus and we can't recover our standard of living without them.
- thepangolino 7y ago
  There's a simple solution to that. Just remove regulations. Remove lockdowns.
  - Gibbon1 7y ago
    You really think the rabble will continue working as the infection rate rises into the double digits.

jdkee 7y ago

"At this rate, the deaths from draconian government responses will far outweigh the deaths from the Corona virus across all age demographics." Care to elaborate?

generalpass 7y ago
> "At this rate, the deaths from draconian government responses will far outweigh the deaths from the Corona virus across all age demographics." > Care to elaborate? The "current rate" assumes a large percentage of the economy being forced to shutdown by government order for an indefinite period. This rate is larger than everyone thinks because we are not just talking about restaurants, theaters and salons. There are all sorts of manufacturing, repair, and other businesses which are also shut down. (Note that Americans have very little savings.) The elderly largely rely on government welfare though Social Security, Medicare, and other programs to survive. With payrolls substantially contracted, this is going to cause a very serious burden on these systems. The likely result will be substantially reduced payments to care providers as well as significant delays in payment, which then likely causes some providers to stop accepting from these systems, thus overloading other providers who may follow and do the same. Everyone needing medical care is reliant on the healthcare system receiving so much money for its services, but given that U.S. healthcare is tied to employment, a lot more people won't be able to pay their bills, so the providers will then increase rates to those who can pay, and employers will be forced to further shed employees to cover premium hikes. Even in the short term, this will reduce new investment in healthcare, such new facilities, equipment, and even equipment maintenance and repair, so the facilities will perform more poorly. Number of beds available will fall because there will be fewer beds per person. There will also be increases in suicide from the increase in unemployment as well as the social isolation Drug overdoses rise. Property crime and violent crime nearly always increase during periods of economic decline. People will consume less healthy foods and be in poorer health. The government is now creating money and giving it directly to consumers. This will increase CPI and exacerbate pretty much everything.
- jdkee 7y ago
  Couple of thoughts to your reasoned response. "The likely result will be substantially reduced payments to care providers as well as significant delays in payment, which then likely causes some providers to stop accepting from these systems, thus overloading other providers who may follow and do the same." Fed can print money and helicopter it out. "Everyone needing medical care is reliant on the healthcare system receiving so much money for its services, but given that U.S. healthcare is tied to employment, a lot more people won't be able to pay their bills, so the providers will then increase rates to those who can pay, and employers will be forced to further shed employees to cover premium hikes. Even in the short term, this will reduce new investment in healthcare, such new facilities, equipment, and even equipment maintenance and repair, so the facilities will perform more poorly. Number of beds available will fall because there will be fewer beds per person." Nationalize the healthcare system and move to single payer. "There will also be increases in suicide from the increase in unemployment as well as the social isolation Drug overdoses rise." It will be interesting to track these numbers over time and compare them to the COVID-19 death toll.